Д.Медведев.Выступление на заседании.05.06.09.Part 4


d Address to St Petersburg International Economic Forums Plenary Session.Part 4<br />June 5, 2009<br />St Petersburg<br
Address to St Petersburg International Economic Forums Plenary Session.Part 4
June 5, 2009
St Petersburg

Выступление на пленарном заседании Петербургского международного экономического форума.
5 июня 2009 года
Санкт-Петербург

In a situation when the economic interests of issuers of reserve currencies have a direct impact on the state of global economy it would be a mistake to avoid discussing these issues. This is a point we made directly at the G20 summit in London. The countries issuing the reserve currencies used in the world today have a particular responsibility when it comes to macroeconomic policy. Countries whose national currencies are not reserve currencies can end up in some situations hostage to the macroeconomic policies of countries that issue reserve currencies, and this is something we should not forget. We could all end up ultimately becoming hostages in this very complex situation.

The advantages that countries or groups of countries gain from having strong reserve currencies should go hand in hand with a greater degree of coordination and greater responsibility for the decisions taken in this area.

We realise that no one can create a reserve currency through virtual means. You cannot simply decree a national currency a reserve currency. Our task therefore, the Russian Federations task, is to make the ruble more attractive, make it a reliable and convenient means of payment for our companies, our neighbours, and for everyone who wants to use it in their transactions.

Ladies and gentlemen,

Russia has not been spared from the current crisis, given its global nature. Furthermore, I must admit that many of its trends have hit Russia particularly hard. This is partially due to the obvious flaws in the structure of the Russian economy which, unfortunately, we have not yet overcome in the period of reform during recent years. I am referring to the well-known fact that our export and financial markets are dominated by companies whose only activity is the extraction of raw materials. This is also due to the fact that our financial system is still at a relatively early phase of development, resulting from the absence of so-called long-term money in our economy, insufficient depth in our financial markets, and continually high rates of inflation.

Nonetheless, during the last few months, we have been able to stabilise the financial situation, and get through as best we could, given the circumstances. We have provided assistance to the industries. We are also putting a great deal of emphasis right now on the development of small businesses. Naturally, some decisions are quite difficult to make, and some decisions have brought about significant problems. This applies first and foremost to decisions by the Central Bank regarding currency exchange rate fluctuations. Many countries have sharply decreased their national currency value. The Bank of Russia decided to follow a different policy, the one of a phased national currency devaluation. I feel that decision was the right one as it ensured the stable operation of the national payment system and, just as importantly, prevented panic withdrawals of bank deposits. Thus, we avoided a drastic drop in the value of the ruble. Todays situation on the financial market shows that the actions taken were appropriate. By the way, yesterday, the Bank of Russia decreased its discount rate for the third successive time, providing hope that the interest rates on banking loans will subsequently go down this is greatly needed today for our industries and all financial market consumers.

I would like to specifically emphasise that my absolute priority as President, as far as anti-crisis measures are concerned, is the social protection of our people. This has been and continues to be our greatest concern. Still, we will not limit ourselves to providing direct monetary assistance.

Whats most important right now is to create conditions for allowing our citizens to improve their job qualifications, to get additional training, and if required, to get an entirely different profession. At the same time, each individual must understand one simple fact: today, people need to be more flexible, and occasionally change their occupation, or even their place of residence, in order to maintain their families living standards and educate their children. This responsibility does not only fall on the government, but on each of us, in turn.
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